Good afternoon, Madam Chair and committee members. I have with me John Forster, who is our associate deputy minister of infrastructure.
We are pleased to be here today to update you on Infrastructure Canada's work in implementing the Government of Canada's Economic Action Plan.
Last January, the government tabled its economic action plan. At that time, Infrastructure Canada was charged with two important responsibilities: first, to accelerate the government's Building Canada infrastructure plan; and second, to design and deliver five of the more than 20 new infrastructure initiatives in the budget, as approved by Parliament.
In the past 10 months, my department has been focused on delivering this challenging agenda for Canadians.
Today, I would like to spend a few moments to talk about our progress and the measures the department has put in place to ensure the accountable stewardship of taxpayers' funds. While appreciating that much of the focus has been on new funds, we cannot overlook the steps taken to accelerate our existing programs, specifically the Building Canada plan. This plan was originally designed to provide $33 billion over seven years to 2014. In the past 10 months, Infrastructure Canada has announced funding for 88 major projects worth $9.6 billion, transferred half a billion dollars to provinces and territories for their core infrastructure projects, and approved the entire program for small communities, about $1 billion for almost 800 projects in all 10 provinces.
Second, Infrastructure Canada has designed and launched new infrastructure funds announced in the budget.
For example, since January, Minister Baird has signed agreements with every province and territory that has committed matching funds of their own to infrastructure stimulus funds. He has committed more than $3.3 billion of this $4 billion fund, approved over 3,000 projects across the country, allowing work to begin, and approved a $500 million top-up for small communities in 9 of 10 provinces. Through all this activity, the department's focus has been on effective and efficient program delivery. In other words, Infrastructure Canada's goal was to balance speed with accountability and stewardship.
Madam Chairman, while much work remains to be done, the department has made good progress in achieving this goal. The department has streamlined the administrative and approval processes to allow work to begin sooner.
The department developed an innovative online application form and review process.
The Government of Canada passed legislation and changed regulations to streamline environmental assessments to avoid duplication while protecting the environment. The department contributed to the government's overall efforts.
Infrastructure Canada has not done this alone. Infrastructure Canada has built a truly impressive national partnership with two other levels of government. Provinces, territories, and municipalities play a key role in this partnership. They provide matching funding to increase the number of projects that can be built. They review and approve the projects with us. They contract, manage, and oversee the construction of projects on the ground, and they provide additional accountability to their citizens and taxpayers.
The Government of Canada is responsible for reviewing and approving the projects with our partners as well, and our department monitors progress.
Infrastructure Canada pays its share of the costs as construction proceeds based on claims submitted by the provinces and territories. This is a very important point. Under our stimulus funds, the department reimburses the claims as construction proceeds.
Through signed contribution agreements, the department has provided advances to each province and territory. As construction on projects proceeds and milestones are reached, provinces and territories can submit claims and the federal government pays its share.
This is exactly what Canadians do when they are renovating their homes. They do not pay 100% up front before any work is done; they pay a deposit or an advance. Then, as the construction proceeds, they pay the money for the work that is done.
In some cases, this means the department may not see a claim for work that began this year until later this year or even next year. This is not a reflection of inactivity. Instead, it is simply how these programs work in our agreements signed with the provinces and municipalities.
It is also an important part of protecting taxpayers by ensuring that the Government of Canada is paying for results achieved and delivered. Once the department receives complete and accurate claims, we have financial controls in place to review it. Upon approval, Infrastructure pays the claims within 30 days.
There is one last thing I would like to touch on.
Infrastructure Canada was tasked with a very important mandate. The department takes this mandate very seriously. And it has put in place important measures to deliver on it.
Infrastructure Canada's management capacity has been strengthened by the appointment of my colleague, John Forster, as the dedicated associate deputy minister for Infrastructure Canada.
The department has created and staffed a separate team that is responsible for infrastructure stimulus fund administration.
The department has strengthened its audit team. Infrastructure Canada has created an external audit committee. It has started its operations and the committee has been briefed on all our programs, most importantly regarding the economic action plan.
Infrastructure Canada has bolstered its capacity on environmental assessments. The department has strengthened its human resources management team, and we have improved the monitoring of our staffing processes.
And, Infrastructure Canada has built effective partnerships with other departments, such as the regional development agencies, who manage and deliver some of the department's infrastructure programs on the ground.
In the four months since I have become responsible for Infrastructure Canada, I have been very pleased with the dedication and level of effort in the department to deliver on the government's agenda. Much work remains to be done, and I will continue to seek ways to improve our implementation.
In closing, over the last 10 months, Infrastructure Canada has developed a national partnership that is leveraging billions of dollars in infrastructure funding, contributed to the start of thousands of important projects across the country, and, most importantly, put measures in place to ensure that the department could deliver quickly on the agenda while being accountable to Canadian taxpayers.
Thank you again, Madam Chair, for inviting us. We are very pleased to be here, and hopefully we'll answer all of your questions.